Chemoil Energy Limited shelves its much publicised $356M Singapore IPO

Global marine fuel products supplier Chemoil Energy Limited has shelved its much publicised $356M Singapore IPO citing “considerations relating to valuation.” Instead the company said in a statement issued yesterday that it intends to build on its 25 years’ track record and will continue to pursue its expansion strategy. Observers, however, have speculated that it is more likely that falling crude oil prices, which may have put off major institutional investors, could have influenced the decision. Crude oil prices have fallen by almost 25% since a July high of $78.40 per barrel. Chemoil Founder and CEO Robert Chandran took up Singapore citizenship last year relinquishing his US citizenship. The company has operations at leading ports including Singapore, New York and Rotterdam. It had issued 439M shares with the maximum price set at $0.85 per share. Investors will be refunded. Chemoil’s IPO would have been the second largest in Singapore this year behind Thai Beverage’s S$1.3Bn ($820.7M).